Second-Party Opinion Download

Sustainalytics is of the opinion that the NN Group Sustainability Bond Framework is credible and impactful and aligned with the four core components of the Green Bond Principles 2021, the Social Bond Principles 2023 and the Sustainability Bond Guidelines 2021. This assessment is based on the following:

USE OF PROCEEDS

The eligible categories for the use of proceeds - Green Buildings, Renewable Energy and Affordable Housing - are aligned with those recognized by the Green Bond Principles 2021, the Social Bond Principles 2023 and the Sustainability Bond Guidelines 2021. Sustainalytics considers that the eligible categories are expected to lead to positive environmental and social impacts and advance the UN Sustainable Development Goals, specifically SDGs 7, 9 and 11.

PROJECT EVALUATION AND SELECTION

NN Group’s Green, Social and Sustainability Bond Committee is responsible for evaluating and selecting projects eligible under the established criteria. NN Group’s due diligence processes support the mitigation of environmental and social risks potentially associated with the eligible assets. Sustainalytics considers the project selection process in line with market practice.

MANAGEMENT OF PROCEEDS

NN Group’s Green, Social and Sustainability Bond Committee will manage proceeds using a portfolio approach. NN Group intends to fully allocate proceeds to eligible assets within 36 months of issuance. Pending allocation, proceeds will be temporarily held in cash, cash equivalents or used for other treasury business. 

REPORTING

NN Group commits to report on allocation of proceeds on its website on an annual basis until full allocation. Allocation reporting will include the total amount allocated, number of eligible assets, balance of unallocated proceeds, amount of financing and refinancing, and geographical distribution of eligible assets, to the extent possible. In addition, NN Group intends to report on relevant impact metrics. This is in line with market practice.

Sustainalytics has assessed the Framework for alignment with the EU Taxonomy’s criteria for Substantial Contribution (SC) to its environmental objectives, Do No Significant Harm (DNSH) and Minimum Safeguards. The criteria defined in the NN Group Sustainability Bond Framework’s use of proceeds category map to five activities in the EU Taxonomy. For more details, please see Section 1 and Appendix 1.